There is something special about owning a restaurant. A gathering place for friends and family, enjoying good food and conversation. A special memory for many and favorite meeting place for a powerful CEO. Whatever the reason someone seeks out your restaurant, it is imperative you are protected properly by insurance.
Restaurant General Liability Insurance
As a restaurant owner, you need to have general liability insurance. This will cover bodily injury, property damage, and product liability which protects you from claims that come from illnesses caused by food. But make sure you read your policy carefully to make sure the food you sell is covered whether it is eaten on or off of your premises. Since restaurants are prone to fires, make sure that you are covered enough so that if you lease your business and your landlord decides to sue you, you are covered. Make sure your police contain coverage called “Damage To Premises Rented To You”.
Other Liability Coverage Restaurant Owners Should Consider
When you own a business and have employees, people in and out, you need to not only protect them but also yourself with enough insurance to deal with any incident. Additional Liability coverages you may need include:
- Liquor Liability: If you sell, or serve liquor this insurance will cover any legal fees, settlements, and medical costs due to bodily injury or property damage by an intoxicated person who was served by your business. These incidents are not covered by your general liability insurance.
- Employment Practices Liability: An employee may sue your restaurant for harassment, discrimination, or any other infringement of rights or wrongful act in the workplace. These incidents are also not covered in your general liability insurance.
- Umbrella: Commercial umbrella insurance complements your other liability coverages by taking over and covering you when your other liability coverage limits have been reached.
Insuring Your Property
In addition to liability insurance, if you own your building there are some other coverages you should consider:
- Sewer Backup: Sewer back up is not included under a typical property policy, so if sewer water backs up into your restaurant, you have a huge, expensive mess on your hands.
- Business Income: If your business is forced to shut down for some reason, such as a fire, you will not suffer from the loss of your income.
- Utility Interruption: A restaurant cannot operate without utilities like electricity, gas, water, etc. Any interruption can cause damage or even force you to shut down. With Utility Interruption you are covered
- Equipment Breakdown: One of the worst things that can happen in a restaurant kitchen is if the walk-in refrigerator breaks. But equally as stressful is another machinery such as ovens, steamers, ice makers breaking down. Equipment Breakdown insurance will cover loss of income, extra expenses, and spoilage.
Since 1973 Panorama Insurance has been a 100% independent agency. This means we work for you. With our insurance knowledge and relationships with multiple insurance companies, we can help get you the most insurance at a price you can afford.